document.write( "Question 1190580: You can afford a $200 per month car payment. You've found a 5 year loan at 2% interest. How big of a loan can you afford?
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Algebra.Com's Answer #822275 by math_tutor2020(3817)\"\" \"About 
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\n" ); document.write( "L = loan amount
\n" ); document.write( "P = payment per month = 200
\n" ); document.write( "i = interest rate per month = 0.02/12 = 0.00166667 approximately
\n" ); document.write( "n = number of months = 12*5 = 60\r
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\n" ); document.write( "\n" ); document.write( "L = P*(1-(1+i)^(-n))/i ....... present value of annuity formula
\n" ); document.write( "L = 200*(1-(1+0.00166667)^(-60))/0.00166667
\n" ); document.write( "L = 11,410.4699873413
\n" ); document.write( "L = 11,410.47\r
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\n" ); document.write( "\n" ); document.write( "Here's a calculator to check your work
\n" ); document.write( "https://www.calculatorsoup.com/calculators/financial/how-much-loan-can-i-afford.php\r
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\n" ); document.write( "\n" ); document.write( "Answer: $11,410.47
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